The Deduction Stack

Important: Exact rates are contractual and change by city, category and campaign. Treat this as a checklist of what to look for on your own statement, not as quoted rates.

Line Item Typical Range Notes
Base Commission 18–28% Your primary rate; negotiable after 3–6 months of history
Payment Gateway / Convenience Fee 1–2.5% Card/UPI processing; platforms sometimes absorb this
Restaurant-Funded Discounts 3–8% Your share of offers you enroll in; check statement monthly
Ads / Visibility Spend 0–5% Optional; pulled from payout if you enroll; should have measurable ROI
Refund & Cancellation Debits 0.5–2% Wrong deductions common; disputes are possible
TCS (Tax Collected at Source) 1–2% (if applicable) Only if you're above annual turnover threshold; you can claim input credit

Compute Your True Take-Home Rate (10 minutes, once a month)

  1. Take one full payout statement.
  2. Sum gross order value (before discounts) for the period.
  3. Sum every deduction line: commission, gateway, your share of discounts, ads, refund debits, penalties.
  4. True deduction rate = total deductions ÷ gross order value. Most owners doing this for the first time find 6–12 points more than the rate they thought they paid.
  5. Then go one level deeper: net revenue per order minus ingredient cost minus packaging = your actual per-order profit. This is the number that should decide your online menu.

A Worked Example

Cloud kitchen, ₹4,00,000 gross aggregator sales in a month.

  • Base commission 24%: ₹96,000
  • Gateway fee 2%: ₹8,000
  • Restaurant-funded discounts: ₹22,000
  • Ads: ₹12,000
  • Refund debits: ₹3,000

Total deductions: ₹1,41,000 — an effective 35.3%, against a "commission rate" of 24%.

Net banked: ₹2,59,000. If blended ingredient cost is 38% of gross (₹1,52,000) and packaging ₹18,000, the channel produced ₹89,000 before rent and salaries. Whether that's good depends entirely on which dishes made it up.

Four Levers That Move the Number

1. Renegotiate with Evidence

After 3–6 months of order history, a request backed by volume and ratings gets a hearing acquisition-stage restaurants don't.

2. Cap Co-Funded Discounts Dish-by-Dish

Fund discounts on high-margin 'puzzle' dishes you want discovered; never on your already-thin plowhorses.

3. Make Ads Prove Themselves Monthly

Ads without incremental-order measurement are a donation.

4. Move Repeat Customers Direct

A bag insert with a WhatsApp ordering QR converts your regulars to a 0% commission channel.

Use the Commission Calculator

Enter your own numbers from your partner dashboard and payout statement to see your true deduction rate and per-order profit.

Open Calculator →